Perks (tax treatment)

  • Eating in a subsidised canteen at your place of employment, which is available to all employees generally on the same terms, is not a taxable benefit. If your firm is less generous, you could still receive luncheon vouchers with a value of up to 15p per day tax free. Parties provided by your employer up to a cost of £75 per head per year.
  • Any car or motorcycle parking provided free of charge at the workplace is not taxable.
  • If your employer provides a pension scheme to which the employer makes contributions, these contributions are not taxable on you.
  • Interest-free loans, provided the loan is less than £5,000, will be tax free.
  • Professional subscriptions paid by your employer would generally not be taxable.
  • Long service awards subject to certain conditions can be made tax free.
  • Share Incentive Plans (SIPs) allow companies to give up to £3,000 worth of "free shares" each year to employees. In order to qualify for these free shares, employees can buy up to £1,500 of partnership shares out of their gross salary. For each partnership share, the employer can give up to two matching shares.